Conflict and

Negotiation

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CONFLICT

 Conflict is a situation in which two or more people

disagree over issues of organizational substance
and/or experience some emotional antagonism with
one another

There are two kind of conflicts:

1. Substantive Conflicts, is conflicts that occurs in the
form of fundamental disagreement over ends or goals
to be pursued and the means for their
accomplishment
2. Emotional Conflicts, is conflicts that involves
interpersonal difficulties that arise over feelings of
anger, mistrust, dislike, fear, resentment, and the like
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LEVELS of CONFLICTS

1. Intrapersonal Conflicts, is conflicts that occurs

within the individual due to actual or perceived
pressures from incompatible goals or expectations
2. Interpersonal Conflicts, is the conflicts that occurs
between two or more individuals
3. Intergroup Conflicts, is conflicts that occurs among
groups in a organization
4. Interorganizational Conflicts, is conflicts that
occurs between organizations

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Constructive and Destructive
Conflicts

 Constructive Conflicts, is conflicts that result in

positive benefits to the group

 Destructive Conflicts, is conflicts that works to the

group’s or organization’s disadvantage

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Conflicts Situations

1. Vertical Conflicts, is conflicts that occurs between

hierarchy levels,
2. Horizontal Conflicts, is conflicts that occurs
between person or group at the same hierarchy level
3. Line -staff Conflicts, is conflicts that occurs between
line and staff representatives
4. Role Conflicts, is conflicts that occurs when the
communication of task expectations proves
inadequate or upsetting

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CONDITIONS THAT CREATE
CONFLICTS

 Work-flow Interdependence, when a person or

group must rely on task contributions from one or
more others to achieve goals
 Power And/or Value Asymmetry, exists when
interdependent people or groups differ substantially
from one another in status and influence or in values
 Role Ambiguity or Domain Ambiguity,
 Resources Scarcity

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STAGES of CONFLICTS

ANTECENDENT
CONDIIONS

PERCEIVED FELT
CONFLICTS CONFLICTS

MANIFEST
CONFLICTS

CONFLICTS
RESOLUTION OR
SUPPRESSION

CONFLICTS
AFTERMATH

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CONFLICTS MANAGEMENT
APPROACH

Conflict resolution occurs when the reasons for

a conflict are eliminated

1. Indirect Conflict Management Approach

a. Appeals to common goals
b. Hierarchical referral
c. Organization Redesign
d. Use of mythology and scripts
2. Direct Conflict management Techniques
a. Lose-lose conflicts
b. Win-lose conflicts
c. Win-win Conflicts 8
INDIRECT APPROACH

1. Appeal to Common Goals, involves focusing the

attention of potentially conflicting parties on one
mutually desirable conclusion

2. Hierarchical Referral, use the chain of command for

conflicts resolution problem are referred up the
hierarchy for more senior manager to reconcile

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INDIRECT APPROACH

3. Organizational Redesign, by decoupling, buffering, linking pins, and liaison

group

- Decoupling, involves separating or reducing the contact

between two conflicting groups

- Buffering is a conflict management approach that sets up

inventories to reduce conflicts when inputs of one group are the
outputs of another group

- Linking Pins are persons who are assigned to manage conflict

between groups that are prone to conflict

- Liaison Groups are groups that coordinate the activities of certain

units to prevent destructive conflicts between them
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 INDIRECT APPROACH

4. Scripts, is behavioral routines that become part of

organization’s culture and Myths is proclamation or
beliefs about situations that deny the necessity to make
trade-offs in conflicts resolutions

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DIRECT TECHNIQUES

1. Lose-lose Conflicts, occurs when nobody really gets what he

or she wants, by Avoidance, Smoothing, and Compromise

- Avoidance is where everyone pretends the conflict

doesn’t really exist and hopes that it will simply go
away

- Smoothing involves playing down differences among

conflicting parties and highlighting similarities and areas of
agreement; it is also known as accommodation

- Compromise occurs when each party involved in a

conflict gives up something of value to the other
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DIRECT TECHNIQUES

2. Win-lose Conflicts, occurs when one party achieves its achieves its
desires at the expense and to the exclusion of the other party
desires, by Competition, Authoritative Command

- Competition is a conflict management technique

whereby a victory is achieved through force, superior skill
or domination

- Authoritative Command is a direct conflict management

technique where a formal authority dictates a solution and
specify what is gained and lost by whom

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DIRECT TECHNIQUES

3. Win-win Conflicts, is achieve by collaboration to address the real

issues in a conflicts situations and the use of problem solving to
reconcile differences.

- Collaboration is a direct and positive approach to conflict

management that involves a recognition by all the
conflicting parties that something is wrong and needs
attention through problem solving

- Problem solving involves gathering and evaluating

information in solving problems and making decisions

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CONFLICT MANAGEMENT GRID

Cooperative Smoothing or Collaboration

Accommodation and Problem Solving
Letting the other’s wishes rule; Seeking true satisfaction of
smoothing over differences to everyone’s concerns by working
maintain superficial through
Harmony Differences;
Compromise finding and
Cooperativeness Working towards Solving problem
partial satisfaction of so everyone gains
(attempting to
everyone’s concerns as a results
satisfy the other
seeking acceptable
party’s concerns) rather than optimal
solution that no one Competition or
totally wins or loses Authoritative
Command
Avoidance Working
Downplaying disagreement, against the wishes
failing to participate in the of the other party, fighting to dominate in
situation, and/or staying neutral win-lose competition, and/or forcing
things to a favorable collusion through
Uncooperative at all cost the exercise of authority

Unassertive Assertiveness Assertive

(attempting to
satisfy one’s own 15
concern)
USE CONFLICTS
MANAGEMENT STYLES

 Collaboration and Problem Solving, used to gain true conflict

resolution, time and other circumstances permitting
 Avoidance, used when an issue is trivial or more important
issues are pressing or to let people cool down and regain
perspective
 Authoritative Command, used when quick and decisive action
is vital or when unpopular actions must be taken
 Accommodation, used when conflicts issues are more
important to others than to oneself or when a person wants to
build credits for use in later issues
 Compromising, used for temporary settlements to complex
issues or to arrive at expedient solutions when time is limited
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NEGOTIATION
 Negotiation is the process of making joint decisions
when the parties involved have different preferences

 Four major action settings for negotiations:

1. Two Party Negotiation, manager negotiates directly
with one other person
2. Group Negotiation, manager is a part of a group
whose members are negotiating to arrive at a
common decision
3. Intergroup Negotiation, manager is apart of a
group that is negotiating with another group
4. Constituency Negotiation, manager involve
negotiation with other person and each individual
party represent a board constituency
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ETHICAL NEGOTIATIONS

 Since any negotiation involves with different preferences

trying to reach a joint decision, ethical behavior is often an
issue, but sometimes not.

 Why people act unethically in negotiations:

1. Profit Motive, the desire of each party to get more
2. Sense of Competitions, the beliefs among
negotiations parties that there are insufficient resources
3. Concerns for Justice, search by each party for
outcomes defined as fair only from narrow perspective
of one’s self-interests
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EFFECTIVE NEGOTIATIONS

 Criterion 1: Quality, the negotiations results offer a

quality agreement that is wise and truly satisfactory to
all sides
 Criterion 2: Efficiency, the negotiations is efficient
and no more time consuming or costly than
absolutely necessary
 Criterion 3: Harmony, the negotiations is
harmonious and fosters rather than inhibits good
interpersonal relations

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APPROACHES IN NEGOTIATION

 Distributive Negotiation, is negotiation in which the

focus is on positions staked out or declared by the
parties involved who are each trying to claim certain
portions of the available pie

 Integrative Negotiation, is negotiation in which the

focus is on the merits of the issues, and the parties
involve try to enlarge the available pie rather than
stake claims to certain portion of it

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INTEGRATIVE AGREEMENT

 Attitudinal Foundations of Integrative Agreement:

1. Each party must approach the negotiation with
willingness to trust the other party
2. Each party must be willing to share information with the
other party
3. Each party must willing to ask concrete question of the
other party
 Behavioral Foundations of Integrative Agreement:
1. Ability to separate people from problem
2. Ability to focus on interest
3. Ability to avoid making premature judgements
4. Ability to judge possible agreements
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BARGAINING ZONE
 Bargaining zone is the zone between one party’s
minimum reservation point and the other party’s maximum
reservation point in a negotiating situation

BARGAINING
ZONE

30,000 35,000 40,000 45,000

Ei Gr Er Gi
Ei Employer’s initial offers
Gr Graduating senior’s minimum reservation point
Er Employer’s maximum reservation offer
Gi Graduating senior’s initial offers 22